Newbridge Capital Inc has an agreement to buy Safin Element interest in the Lomonosovskoye Limited Liability Partnership which has exploration and production rights to an iron ore deposit in Kazakhstan.

The deal calls for Newbridge to pay USD 70.3 million in cash and shares in three stages for Safin share of the limited partnership. Safin would retain a 15% exposure to Lomonosovskoye through its shares in Newbridge.

The initial payment will be USD 18.8 million including USD 14.2 million in cash and the rest in shares of Newbridge. The second instalment is USD 25.8 million of cash including USD 22.2 million of cash and the rest in shares. The third installment is also USD 25.8 million of cash and shares.

If the transaction closes as anticipated, Newbridge intends to change its name to KazaX Minerals Ltd.

(Sourced from www.canadianbusiness.com)